Plural governance: The effect of internal production on supplier performance

We suggest that both making and buying the same product or service has several effects on supplier performance. A model is developed and tested by use of answers gathered from the Danish municipalities. The results support the three hypotheses that (1) the negative effects of technological uncertainty on supplier performance decrease when buyers combine internal production and external sourcing, (2) the negative effects of performance uncertainty on supplier performance decrease when buyers combine internal production and external sourcing, and (3) the negative effects of asset specificity on supplier performance decrease when buyers combine internal production and external sourcing. However, the moderating effects depend on how the plurality is measured. The results indicate that internal production may facilitate effective governance of the relationships with external suppliers. Implications for research on make-or-buy decisions and for practice are also discussed.     

Equilibrium selection in coordination games with simultaneous play

Summary. We apply the dynamic stochastic framework proposed in recent evolutionary literature to a class of coordination games played simultaneously by the entire population. In these games payoffs, and hence best replies, are determined by a summary statistic of the population strategy profile. We demonstrate that with simultaneous play, the equilibrium selection depends crucially on how best responses to the summary statistic remain piece-wise constant. In fact, all the strict Nash equilibria in the underlying stage game can be made stochastically stable depending on how the best response mapping generates piece-wise constant best responses. Received: February 12, 2001; revised version: October 29, 2001     

Equilibrium business cycles with idle resources and variable capacity utilization

Summary A real business cycle economy is studied in which some capital is idle each period and the fraction of capital left idle varies in response to technology shocks. Previous equilibrium business cycle models have the characteristic that the entire stock of capital is used for production in each period. Our objective is to determine whether incorporating idle resources, something regularly observed in actual economies, significantly affects the cyclical properties of the model and hence changes our views about the importance of technology shocks for aggregate fluctuations. In our analysis we do not assume an aggregate production function, but instead model production as taking place at individual plants that are subject to idiosyncratic technology shocks. Each period the plant manager must choose whether to operate the plant or to let the plant remain idle. We find that the cyclical properties of this model are surprisingly similar to those of a standard real business cycle economy. One difference is that the model displays variation in factor shares while the standard models does not.The authors acknowledge support from the National Science Foundation.     

Stability and self-decomposability of semi-group valued random variables

A random variable X on IR₊ is said to be self-decomposable, dif for all c∈ (0, 1) there exists a random variable X_c on IR₊ such that X=^dcX+X_c . It is said to be stable if it is self-decomposable and X_c=^d (1 - c)X' , where X and X' are identically and independently distributed. The notions of stability and self-decomposability for infinitely divisible random variables are generalised to abelian semi-groups ( S, + ) with S having an identical involution, by using characteristic functions. The generalised definitions involve semi-groups of scaling operators T . There operators can be interpreted in a slightly different context as generalised continuous-time branching processes (with immigration). The underlying importance of the generator of the semi-groups T in the characterisation of stability and self-decomposability is stressed.     

Green segmentation and environmental certification: insights from forest products

Firms engage in environmental marketing in order to appeal to environmentally conscious consumers. Within the context of the forest product industry, this research uses data from two studies to empirically test whether a relationship exists between demographic/psychographic characteristics and reported environmentally conscious intentions. In both studies, the results indicate that the environmental marketing of certified/ecolabeled forest products appeals to a segment of environmentally conscious consumers. This appeal occurs for both a value‐added product (furniture) and a non‐value‐added product (plywood). Thus, there is support for the argument that environmental marketing to environmentally conscious consumers can result in ‘green segmentation’. Key findings from this study suggest that those consumers reporting the strongest preferences for environmentally certified forest products were more willing to pay a premium for certified products, more likely to display environmentally conscious behavior and more likely to perceive that green consumer purchases effectively benefit the environment. These characteristics were most common among females and those familiar with the concept of environmental certification. Copyright © 2009 John Wiley & Sons, Ltd and EPR Environment.     

Intraregional productivity differences in São Paulo state manufacturing plants

Zusammenfassung Intraregionale Produktivit?tsdifferenzen zwischen Fabriken im Staate S?o Paulo. - Dieser Aufsatz untersucht intraregionale Produktivit?tsdifferenzen zwischen neuen Fabriken im Staate S?o Paulo in Brasilien. In einer Region wie S?o Paulo, in der die Produktion r?umlich sehr konzentriert ist, erscheint es einleuchtend, die Einflüsse der Agglomeration anhand der Fahrzeit zum Stadtzentrum zu messen. Anscheinend ist dieser Aspekt der Erreichbarkeit tats?chlich mit einer h?heren Produktivit?t verknüpft. Die Produktivit?t ist ebenfalls h?her in Fabriken, die in irgendeiner Form eng mit ausl?ndischen Firmen verbunden sind, was darauf hindeutet, da\ nützliche Informationen innerhalb des Firmenbereichs ausgetauscht werden. Schlie\lich vermittelt die Analyse, da sie sich auf neue Fabriken konzentriert, ganz aktuelle Einzelheiten über die Produktivit?tsvorteile st?dtischer Produktion.

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Resumen Diferencias intraregionales de productividad entre los establecimientos industriales del Estado de S?o Paulo. - Este trabajo analiza diferencias intraregionales de productividad entre los establecimientos industriales nuevos del Estado de S~ao Paulo en el Brasil. En una región como S?o Paulo en la cual la producción está altamente concentrada es plausible medir la influencia de la aglomeración usando el tiempo de viaje necesario para llegar al centro de la cuidad. La evidencia indica que este aspecto de la accesibilidad está, en efecto, asociada con una productividad más alta. La productividad también resulta superior en establecimientos con calidad de subsidiarias o sucursales de o afiliados a empresas extranjeras, hecho que sugiere que se transmite información útil dentro de la empresa. Finalmente, limitándose a establecimientos nuevos, el análisis proporciona informaciones muy actuales sobre las ventajas de producir en zonas urbanas.

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Résumé Différences intrarégionales de productivité dans des usines manufacturières d’état de S?o Paulo. - Dans cet article les auteurs analysent des différences intrarégionales de productivité entre nouvelles usines manufacturières dans l’état de S?o Paulo en Brésil. Dans une région comme S?o Paulo dans laquelle la production est spatialement très concentrée il est plausible de mesurer les influences de l’agglomération par le temps d’aller au coeur du centre urbain. L’évidence indique que cet élément d’accessibilité est en fait associé avec une productivité plus haute. La productivité est aussi plus haute dans les usines qui sont bien liées aux entreprises étrangères, un fait qui suggère que des informations utiles sont transmises dans l’enceinte de l’entreprise. Finalement, cette analyse qui est concentrée sur des usines nouvelles donne des informations extrèmement actuelles sur les avantages de productivité de la production urbaine.

     

Increase response to industrial surveys

The results of this article support the contention that a prenotification telephone call increases the probability of response to a mail survey request. The article also discusses the practical problems associated with the use of a telephone prenotification in an industrial setting and provides a step-by-step procedure to help overcome these problems.     

汽车安全约束系统的升级

安全气囊之所以能在许多国家被授权使用,是因为它能够在危急情况下挽救生命,减少伤害。     

Lower Tax Progression, Longer Hours and Higher Wages

The impact of tax reforms that decrease income tax progression is analysed in an equilibrium search model with wage bargaining and endogenous individual working hours. Working hours are either bargained together with the hourly wage (case 1) or determined solely by workers after bargaining over the wage (case 2). In both cases reducing tax progression increases working hours of employed and, more interestingly, unambiguously increases wages and unemployment. Wages and unemployment rise more and working hours and production less in case 1 compared to case 2, probably making case 2 countries best suited for such tax reforms.
JEL Classification : H 24; J 22; J 41